The team at Morgans has been busy looking at recent updates from a number of ASX 200 stocks.
Some have fared well, others have not.
With that in mind, let's see what the broker is saying about the three popular stocks listed below.
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Iress Ltd (ASX: IRE)
This financial technology company's update caught the eye of Morgans. It notes that Iress is planning to accelerate its cost-out program to save another $25 million.
However, that is just a sideshow, with the main event a potential takeover. Morgans believes that if one comes, it will likely be before the end of the year and could be at a price around $10.50 per share. But for now, the broker has an accumulate rating and $9.69 price target on its shares. It said:
We assume the formal data-room process has highlighted additional opportunity, supportive of an accelerated program. IRE confirmed that multiple parties remained engaged in the process. We expect CY25 would be set as a bid deadline. A bid not materialising is a key short-term risk for the share price. However, on a fundamental basis, the incoming CEO has a strong track record of execution which provides some additional comfort to the efficiency targets now in place.
IRE is set up for reasonable growth whilst investing in top-line initiatives (FY26/27) and will now accelerate core business efficiency plans. We consider the live corporate appeal as providing some extra risk/reward to the investment case. We have an ACCUMULATE rating based on our fundamental valuation. Under a takeover scenario we see >A$10.50ps as more appropriate.
Macquarie Group Ltd (ASX: MQG)
This investment bank didn't do enough with its half year results to convince Morgans to change its recommendation.
The broker continues to believe its shares are trading at fair value. As a result, it has retained its hold rating with a $215.00 price target. It said:
MQG's 1H26 NPAT (A$1.65bn) was +3% on the pcp, but -9% below company-compiled consensus ($1.81bn). Whilst acknowledging there were some explainable items driving this miss, e.g. increased investment spend in CGM, factors like green asset impairments and non-repeated prior year gains also came into play. Purely on face value, it was another headline result miss for MQG, albeit full year guidance commentary appears relatively unchanged.
We make mild downgrades to our MQG FY26 earnings of -2%, with future year earnings slightly lifted (+2% to 4%) on a broad review of our earnings assumptions. Our PT is reduced to ~A$215 (previously ~A$223). We maintain our HOLD recommendation on MQG, believing the stock is currently fair value trading on 19x PE.
REA Group Ltd (ASX: REA)
Morgans was impressed with REA Group's strong yields during the first quarter of FY 2026. It notes that this helped offset softer listing volumes.
In response, the broker has upgraded its shares to an accumulate rating with a $247.00 price target. It said:
REA's 1Q26 trading update benefited from a strong yield outcome (+13%), which helped to offset a softer new listings environment in the period (volumes down -8% vs the pcp). Group revenue was A$429m (+4% on pcp), with EBITDA (ex assoc.) up 5% on pcp to A$254m. We make minor changes (-1%) to our FY26-FY28 EPS estimates. Our DCF-derived price target is lowered to A$247 (from A$254). Given REA is trading on ~42x FY26F PE (MorgansE), broadly in line with its 10-year historical average, and now with >10% TSR upside to our valuation we upgrade REA to ACCUMULATE.
